European dairy trade association welcomes Mercosur deal move
European dairy trade association Eucolait has said it "celebrates" the provisional application of the EU-Mercosur trade agreement.
EU Commission President Ursula von der Leyen confirmed the move yesterday (Friday, February 27) after Argentina and Uruguay became the first Mercosur countries to ratify the controversial deal.
The agreement, which has been 25 years in the making, will create one of the world's biggest free trade zones.
However, European farmers have voiced concern over the potential impact of increased beef and poultry imports from the Mercosur countries.
In a bid to address these concerns, the EU Commission has put forward a range of market safeguards.
Mercosur
In a statement, Eucolait said it "applauds" the commission’s decision to proceed with the provisional application of the EU-Mercosur agreement.
"This landmark agreement establishes a market of 720 million consumers and sends a powerful signal in support of open and rules-based trade at a time of heightened geopolitical uncertainty.
"It represents a decisive step in strengthening the EU’s strategic autonomy, competitiveness and economic resilience through diversified and reliable trade partnerships," it said.
"For Europe’s dairy trading community, enhanced engagement and structured cooperation with the Mercosur countries are of strategic importance.
"The agreement creates meaningful new opportunities for dairy businesses and Eucolait emphasises that operators should be able to benefit from the improved market access conditions without delay," the statement added.
Dairy
Eucolait believes the trade agreement "provides balanced and reciprocal concessions for dairy products, primarily through tariff-rate quotas, while also addressing technical barriers to trade and improving regulatory cooperation".
"These provisions will facilitate smoother trade flows and foster long-term sectoral collaboration.
"Eucolait is confident that the provisional application of the interim trade agreement will clearly demonstrate its tangible benefits for both regions, paving the way for full ratification and a strengthened EU–Mercosur partnership in the near future," the statement said.
Eucolait, which is based in Brussels, has been the representative voice of the European dairy trading community since 1959.
The organisation represents some 430 dairy trading companies from 21 countries, including Ireland, with an estimated combined turnover of €80 billion.
In June, Anne Randles, the director of corporate affairs at Ornua, was elected as president of Eurolait.
